Insurance law firm Keoghs has confirmed it is keen to speak with potential investors as an option to grow its business.

The Bolton-based firm is considering whether to explore any further offers from private equity sources to take advantage of the opening of the legal market.

The Legal Services Act will allow firms to refashion themselves as alternative business structures in the new year. Personal injury firm Irwin Mitchell has already confirmed it is seeking external investment, with several more expected to announce acquisitions and investments in the coming months.

A spokesman for Keoghs said: ‘Like many firms in our sector, we are currently exploring opportunities to raise external funding for growth as an alternative business structure.'

He added: ‘Bringing a long-term investment partner on board could potentially provide an opportunity to accelerate the firm’s expansion in the claims-related legal services market, where we believe there is a long-term opportunity for consolidation.’

The spokesman said the exercise remained ‘exploratory’ while staff and clients decide if an equity partner is in the best interests of the firm.

Meanwhile, pan-European private equity house Palamon Capital Partners has suggested it is considering further investments into the legal market.

The investment firm announced in September it had invested an undisclosed amount in legal franchise QualitySolicitors to gain a major shareholding in the company.

A Palamon spokesman said it had been looking at the legal market for 18 months and may not stop at QS.

He added: ‘The firm has strong experience investing into newly deregulated markets and are assessing a range of further opportunities that are arising as a result of this new legislation.’